On September 6, 2024, the FCC released a Report and Order on the assessment and collection of regulatory fees for Fiscal Year (“FY”) 2024. The R&O adopts a schedule of regulatory fees to assess and collect $390,192,000 in regulatory fees for FY 2024. As discussed below, the FCC sets the rounded FY 2024 regulatory fee for CMRS Mobile Services at $.16 per telephone number count/subscriber and for CMRS Messaging Services at $.08 per telephone number count/subscriber.
In addition, the FCC has released a Public Notice announcing that regulatory fees are due September 26, 2024 and providing payors with information on how to pay their fees. Regulatory fees that are not paid in full by the due date will be assessed a 25% late payment penalty, and will accrue interest until paid in full. The FCC has also released a Public Notice providing information on the requirements to request a waiver, reduction, or deferral of regulatory fees, or to request an installment payment plan.
Wireless Services: CMRS Cellular, mobile and messaging services (fees based on number of subscribers or telephone number count): Regulatory fees must be paid for authorizations that were granted on or before October 1, 2023. The number of subscribers, units or telephone numbers on December 31, 2023 will be used as the basis from which to calculate the fee payment. As it has done in prior years, the FCC is including non-geographic numbers in the calculation of subscribers for each CMRS provider for FY 2024. In instances where a permit or license is transferred or assigned after October 1, 2023, responsibility for payment rests with the holder of the permit or license as of the fee due date. For wireless services with multi-year fees, entities pay the fees in advance for the entire amount period covered by the five-year or ten-year terms of their initial licenses and pay regulatory fees again only when the license is renewed, or a new license is obtained.
- Appendix B lists the calculations of FY 2024 revenue requirements and the pro-rata fees by category. The FCC sets the rounded FY 2024 regulatory fee for CMRS Mobile Services at $.16 per telephone number (subscriber) count, and for CMRS Messaging Services at $.08 per telephone number (subscriber) count. (See also Appendix C).
- The Commission compiles data from the Numbering Resource Utilization Forecast (“NRUF”) report based on “assigned” telephone number (subscriber) counts that have been adjusted for porting to net Type 0 ports (“in” and “out”). This subscriber count information is posted on the FCC’s Commission Registration System (“CORES”) along with the carrier’s Operating Company Numbers.
- Carriers wishing to revise their subscriber count can do so through CORES. Any such requests must be accompanied by an explanation or supporting documentation.
Discontinuation of Flexibility for Regulatory Fee Payors: The FCC has discontinued the COVID-19 relief measures adopted in 2020 and is largely returning to pre-COVID pandemic operations for FY 2024. Accordingly, the following changes will be implemented:
- Regulatees seeking a waiver, reduction, and deferral for FY 2024 fees are required submit all financial documents necessary to support their hardship request at the time of filing the request.
- Regulatees in red light status will not be permitted to seek a waiver, reduction, or deferral of their regulatory fees, nor will they be permitted to request installment payments.
The FCC has preserved two of the relief measures it adopted in the past. First, regulatees will be permitted to utilize the simplified and streamlined process for seeking regulatory relief, which was codified in 2023. Second, the FCC directs the Office of Managing Director to fix the interest rate it assesses on all installment payments of FY 2024 regulatory fee debt at the lowest rate permitted by statute, and to not require the customary down payment.
For more information on regulatory fees, visit http://www.fcc.gov/regfees.
The Order will become effective upon publication in the Federal Register.
Please Contact Us if you have any questions.
The post 2024 Regulatory Fees Due Sept. 26 first appeared on Telecommunications Law Professionals, PLLC.
